Posted by
Corthell on Monday, July 06, 2009 6:55:08 PM
His policies aim to block the 'creative destruction' that brings economic innovation.
In his landmark 1942 book, "Capitalism, Socialism, and Democracy," economist Joseph Schumpeter emphasized the key role that creative destruction plays in generating long-run economic growth. It is the driving force of capitalism.
There have been numerous accusations that President Barack Obama is intent on reforming America as a socialist nation. Obama himself may have fed the beliefs with his own words, saying, as he did, that he believes government should "spread the wealth around." He also said, in 2003, that he favors a single-payer system for American health care.
Former Vice President Cheney, asked recently about Obama's "socialist" policies, responded, "I agree with the criticism without using the labels."
Most of Obama's policies to date are very far from the socialist ideal. They may well move the economy in a direction that a conservative might oppose, but they do not revive the model of the Soviet Union, either.
Still, there is one aspect of Obama's policies that gives a student of Schumpeter great pause, and perhaps even some sympathy for Cheney's answer. Obama and his team seem sharply opposed to the view that creative destruction is a valuable economic force.
http://www.ocregister.com/articles/obama-destruction-unions-2482381-government-new